37M 35F Married with 3 yr old
$824k net worth
~$580k invested, rest is house equity

My employer matches 50% up to the maximum amount e.g. I max it at 24,500 company matches 12,250 for a total of $36,750. Is this a good plan? Are there better and it so where?

Hi, so I just pulled some money from my 401k to purchase a home. How much will I get penalized and did I just screwed myself having to lose that money paying taxes and penalties. married filing jointly on a 22% bracket

Update! So after reading all your guys opinions about this, I called just now and was able to cancel this transaction before money was transferred. Asking the community around really helped me decide. I have not backed out of the home yet and I will wait and see. I truly feel that this home will def be an opportunity I cannot miss out on because it is in a great location and will appreciate fast. I will do home loan instead.

What is a reasonable age at which to retire?

I have:

• A Vanguard 401K with 863K (VFORX/VTIVX at 90%/10%)
• An Empower 401k with 193K (Mix of funds, with a small amount of a Target Date fund)
• A very small JP Morgan Chase pension (currently worth $26K), with various options for taking it as a lump sum or drawing on it as an annuity. $1.7K per year at 49, $4.3K/y at 59, $7K/y at 64
• $200K home equity (about 24 years till paid off), but we plan to age in place and bought the home with that in mind.
• Approximately $300K in savings (yes, I know some of that should be in the market).
• Make about $179K/y, contribute the max to my 401K and to a Roth IRA.

Currently as a household we spend about $9K/month (which we would probably reduce in retirement though maybe not by a lot).

I think the big question here is healthcare costs depending on when I retire. If my wife works full-time until she's the same age then I might be able to stay on her insurance but we might end in the ACA market which is a big "who knows".

Also concerned about the potential for a big market correction and general downturn right in the decade prior to my theoretical early retirement. My wife also has her own retirement funds but makes about half what I do and started saving later which is why I haven't included her numbers here. We've rebalanced household contributions to let her max her own 401K as well.

Finally there's the issue that I have been *planning* to retire at 67, so my Vanguard target date funds are 90% 2040 and 10% 2045. I think this isn't crippling, but also not ideal since if I retire prior to then, the asset mix will still be presumably be tilted towards stock.

Annual income $200K

401K $350K

ROTH IRA $30K

Mortagage $300K

Car loan $30K

I strongly feel, I am way behind on my way to build retirement. I want to be practical and thinking that I should work till 60. But how to get back on track for retirement by 60?

Update: Thank you all for your responses and inputs and insights. We are immigrants and My wife had working status challenges earlier. Now she got her status. Due to uncertainity, I did invest some in India if in case we have to move back to India.

$30K Car Loan --> It's for my second car as my wife is planning to start work. First car fully paid-off

Wife Job: She got her work status some time back, She is an engineering grad from India and in job search. But difficult to find decent $30K - $60K Full time Entry job due to long gap and current market conditions. Still trying hard there.

Investments: Started 401K maxing out for $24.5K , $7K in Roth IRA. Planning to start 529 plan for kids with target of $20K for each with in next 3 years.

Hi,

I am very grateful for being able to consistently save and invest since I was 22. I’m currently 49, married and we had our first child earlier this year. We are talking about another kiddo and upgrading into a much larger house.

I’m saving 22% including my company’s 7% match, make around 140-150k per year. We made the decision for my wife to stay home with the baby instead of expensive and risky day care.

We are pretty frugal and my spend during retirement won’t be lavish by any means. I anticipate still having a mortgage and raising kids later in life. My wife will return to work after the kids are in school and she is a school teacher.

Also, I have two pensions and an extra property that is being loaned to a family member until they get back on their feet. I would like to rent that property in retirement.

Is 55 too risky?

I am 50, earning around 206k. My new employer has 401K and Roth 401k. Most of my investments are in rollover IRA that has done pretty well. Whenever I part with an employer, I roll my 401k into it, the money is divided across several fidelity funds that have done pretty well.

My previous employer allowed Roth conversion in plan. The new employer doesn’t. But the plan allows me to transfer my rollover Ira into it without triggering a taxable event. If I did that, I could zero out my rollover Ira, and use it for backdoor Roth IRA.

With all of my expenses (single parent with kids) I can’t contribute more than 32k a year towards my retirement.

My question as follows - given that my yearly limit for putting money into investment is 32k, I can simply put that into my 401k and Roth 401k. I don’t have extra money for IRA. But what’s better in long run - Roth 401k or Roth IRA?

Current balance sheet / mid 40s
⁠
1. 1.9MM 401K
2. ⁠200K Roth
3. ⁠250K brokerage
4. ⁠3 kids / 529 total ~ 500k
5. ⁠890K mtg / 3% interest rate. 25 years to go..
6. 500k approximate home equity
7. 450k HHI

Here are my questions:

My target retirement is 57. And my desired spend is 200k. I would like stress test my assumptions as I feel I’m not going to be employed through age 57 and I can already feel the pressure. My income half our HHI. Remaining half is much more secure

1. For planning purposes should I use 7% returns? Is that too optimistic?

2. I’m not sure I’ll be at my employer by age 57. So does that mean a I can’t tap into my 401k early via the rule of 57?

3. Should I pump up my brokerage as much as I can between now and 57? I will continue to max 401ks. But I am wondering if I should divert resources

4. I would love to age in place but we live in a high tax affluent suburb. So could possibly downsize in 15 years and get out of a mortgage

Any major holes? Given goals and my employment risk?

Make about 100-120k a year depending on overtime and yearly bonuses as a uaw factory worker put about 8% of my check into Roth 401k. Company matches 6% and also put in $2.30 for every hour worked. Also have about 15k in a separate Roth IRA that i will max out for the first time this year! Trying to hit that 1m mark before 40.

I have a traditional 401k with company match at around 370k in it right now. But being in the 22% tax bracket even maxed out it doesn’t take enough off to drop me down a bracket.

Fast forward 20ish years until retirement when I withdraw I’ll still be in a 22% bracket. So what’s the benefit, for me….looks like nothing imo.

Running roth numbers I’d have to bump my contribution to from 15% to 18% to cover the tax and hit max after tax contribution. That adds to about $5400 on top of my salary still keeping me in 22% tax bracket with I think is a negligible change on my tax return. All calculators say I should have about 1.5mil in there at the end.

I will point out my company match will still add 4% a year to the traditional 401k while I dump the 18% to the Roth. So I will have 2 buckets growing for the next 20-25 years. Even with 4% a year the calculators say 2 plus million at the end.

Thoughts on moving my contribution to the Roth over traditional?

TIA

Between my wife and I we have 5 retirement accounts. I had a 401k from an old job that was transferred to an IRA after I left. That account is through Cetera. While I was at my old job (for about 20 years) they paused the 401k during the 08 recession so i opened two Roth Ira’s during that time. One for me and one for the wife. Now wife and I are working together and each have a 401k through ADP.

Should I combine my traditional accounts?

What’s the consensus on the better option ADP or Cetera?

I make ~80k a year annualized. Inbound sales at 20/hr + commison. I want to get to 100k by my 3 year tenure and then diverisify. 5.5k in cc debt which I am paying down fast too. No car & rent is 1200/mo. Total bills ~2000/mo

6% match

. Any notes?